Jury Convicts ’47 Ronin’ Director Of Stealing Millions Meant For Sci-Fi Show

A jury convicted Hollywood director Carl Erik Rinsch of scamming $11 million from Netflix for a show that never materialized, and spending it to fund his lavish lifestyle.

Court records and a spokesperson for federal prosecutors in New York said Rinsch was convicted of wire fraud, money laundering and other charges, according to CBS News. The director, best known for directing “47 Ronin,” is believed to have used the money to purchase several Rolls-Royces, luxury watches, a Ferrari and approximately $1 million in mattresses and luxury bedding. The Netflix show was never completed.

(L to R) Japanese actress Ko Shibasaki, actor Hiroyuki Sanada, Canadian actor Keanu Reeves, Japanese actor Tadanobu Asano, actress Rinko Kikuchi and US director Carl Rinsch pose for photographers at a press conference to promote their movie ’47 Ronin’ in Tokyo on November 18, 2013. The film will open on December 6 across Japan. AFP PHOTO / Toru YAMANAKA (Photo credit should read TORU YAMANAKA/AFP via Getty Images)

U.S. Attorney Jay Clayton issued a statement saing Rinsch “took $11 million meant for a TV show and gambled it on speculative stock options and crypto transactions.”

Prosecutors said Netflix initially paid Rinsch about $44 million for an unfinished science fiction show called “White Horse,” and then sent over another $11 million when he requested additional funding to complete production. They accused Rinsch of directing the money to his personal account, where he made a series of failed investments and lost approximately half the $11 million in a couple of months, according to CBS News.

Prosecutors alleged he then put the remaining funds into the cryptocurrency market, netting some profit, then deposited the money into his own bank account.

LOS ANGELES, CA – SEPTEMBER 23: Director Carl Erik Rinsch attends New Directors’ Showcase In Los Angeles presented by Team One, Saatchi LA on September 23, 2015 in Los Angeles, California. (Photo by John Sciulli/Getty Images for Team One, Saatchi LA)

They alleged Rinsch used the money to purchase five Rolls-Royces and one Ferrari, then spent $652,000 on watches and clothes. They claimed he also bought two mattresses for about $638,000 and spent another $295,000 on luxury bedding and linens. Prosecutors said Rinsch used some money to pay off about $1.8 million in credit card bills, according to CBS News.

Rinsch’s attorney, Benjamin Zeman, issued a statement saying he thought the verdict was wrong and “could set a dangerous precedent for artists who become embroiled in contractual and creative disputes with their benefactors, in this case one of the largest media companies in the world, finding themselves indicted by the federal government for fraud,” according to CBS.

Rinsch is expected to be sentenced in April. (RELATED: Officials Free ‘Real Housewives’ Star Jen Shah From Federal Prison Early)

“Today’s conviction shows that when someone steals from investors, we will follow the money and hold them accountable,” Clayton said.